Shinko Plantech Co., Ltd. (TSE:6379) entered into a memorandum of understanding to acquire JX Engineering Corporation from JXTG Holdings, Inc. (TSE:5020) and Nippo Corporation (TSE:1881) for ¥8.7 billion on September 28, 2018. JXTG Holdings and Nippo Corporation will sell 70% stake and 30% stake respectively. A definitive agreement will be signed by December 2018. On December 20, 2018, a definitive agreement has been signed. As per the terms of consideration, Shinko Plantech will issue 7.9 million shares for 0.9 million shares of JX Engineering. Shinko Plantech will pay cash to JX Engineering shareholders receiving a fraction less than one ordinary share of Shinko Plantech. 9.2 ordinary shares of Shinko Plantech will be allotted in exchange for each ordinary share of JX Engineering.

JX Engineering reported net assets of ¥17.58 billion, total assets of ¥34.4 billion, net sales of ¥50.11 billion, operating profit of ¥2 billion and net profit of ¥1.4 billion as of March 31, 2018. Deal is subject to approval at Shinko Plantech's shareholders' meeting and the receipt of any permits and approvals from relevant authorities necessary, any other regulatory approvals necessary, for the management integration which is also expected between JX Engineering Corporation, Shinko Plantech and JXTG Holdings and is expected to occur by April 1, 2019, and Definitive agreement. Shinko Plantech, which will be a surviving company, is expected to continue listing its ordinary shares on the first section of the Tokyo Stock Exchange on and after the effective date of the management integration. As of December 20, 2018, a resolution has been passed by board of directors of Shinko Plantech Co., Ltd. and on April 22, 2019, the transaction is approved by shareholders of Shinko Plantech Co., Ltd. The transaction is expected to occur by July 19, 2019. Anderson Mori & Tomotsune LPC acted as legal advisor for Shinko Plantech and SMBC Nikko Securities acted as valuer in the transaction.

Shinko Plantech Co., Ltd. (TSE:6379) completed the acquisition of JX Engineering Corporation from JXTG Holdings, Inc. (TSE:5020) and Nippo Corporation (TSE:1881) on July 1, 2019.